The Verizon iPhone drumbeat continues as Daring Fireball’s John Gruber says that Apple is indeed working on a CDMA variant of the iPhone 4, dubbed internally the “N92.” While the device is not in device testing yet — that’s the level where engineers like Gray Powell take them out into the wild — it is at engineering-level testing right now.

Gruber speculates this is where the phone would need to be in order to make it to a January 2011 release, which seems to be the date many are fixated on for its release. He cautions however that the news does not necessarily mean Verizon’s getting it: there are other CDMA carriers after all.

It has been said that the new iPhone 5 is coming equipped with numerous internal antennas in order for it to be useable all over the world. It will be able to work with networks employing GSM and CDMA. This is a huge advantage of the phone. Hopefully the rumors are true.